Posts Tagged ‘Slower Fool Theory’

Notes From Underground: Looking Back Two Weeks and Two Years

May 18, 2014

Here’s a post from two weeks ago discussing the idea that Siemens would procure Alstom and GE had no chance of making the acquisition of a major French industrial champion. Also, I am reposting a piece from two-and-a-half years ago in reference to a comment on yesterday’s blog by Chicken. The post highlights the THE SLOWER FOOL THEORY, propagated by Richard Dennis. It does a great deal to explain why investors pursue a course of action which they inherently know is fraught with high risk for little reward. The global bond markets are now the paradigm for the theory.

April 28, 2014: George Soros In the Time of Draghi

November 21, 2011: Europe has AUSTERITY and POLITICAL REPRESSION; The U.S., FINANCIAL REPRESSION

 

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Posted in Europe | 1 Comment »

Notes From Underground: Will the Weak Retail Sales Force Bernanke to Reveal the New Power Tools?

July 16, 2012

Today’s RETAIL SALES report was far weaker than anticipated. With Bernanke testifying to CONGRESS (Senate on Tuesday, House Wednesday), will the FED Chairman reveal anything to the “FOOLS ON THE HILL” as the knives will be out as politicians need to be seen as pressuring the FED for the voters back home. As previously reported, the June’s FOMC MINUTES revealed, “Several participants commented that it would be desirable to explore the possibility of developing new tools to promote more accommodative financial conditions and thereby support a stronger economic recovery.”

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Posted in Debt Market, Fed | 5 Comments »

Notes From Underground: Europe has AUSTERITY and POLITICAL REPRESSION; The U.S., FINANCIAL REPRESSION

November 21, 2011

****WARNING: TRADING IN HOLIDAY THINNED MARKETS DURING TURBULENT TIMES CAN BE DANGEROUS TO YOUR WEALTH****

Today’s 2-YEAR NOTE auction in the U.S. received a 4.07 bid to cover ratio, the highest in records dating back to 1992. The rate NOTE BUYERS received was a meager 28 basis points. (Yes, thank you sir, may I have another?) There are those on the FED who are concerned that inflation is a threat and feel that the FED is too easy to meet its stable price mandate. The question becomes: Which financial geniuses are purchasing a TAXABLE INSTRUMENT AT A LOWER RETURN THAN THE INFLATION RATE?

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Posted in Debt Market, Europe, Japan | 8 Comments »